Laws of the People's Republic of China

the Ministry of Construction

Circular of the MOC on Relevant Matters concerning the Supplementary Agreement II to Hong Kong/Mainland CEPA and the Supplementary Agreement II to Macao/Mainland CEPA as Approved by the State Council

Jian Zong [2005] No. 219

The construction departments of all provinces and autonomous regions, the construction commissions of all municipalities directly under the Central Government, the construction administrations of Shandong and Jiangsu Provinces, the Construction Bureau of Xinjiang Production and Construction Corps, the Engineering Bureau of the Barracks Section of the General Logistics Department,

With a view to promoting the establishment of closer economic relations between Hong Kong, Macao and the Mainland, encouraging the Hong Kong and Macao service providers to incorporate foreign trade enterprises in the Mainland, and in accordance with the Supplementary Agreement to Hong Kong/Mainland Closer Economic Partnership Arrangement and the Supplementary Agreement II to Macao/Mainland Closer Economic Partnership Arrangement as approved by the State Council, the relevant matters are hereby notified as follows:

1.

As to a Hong Kong or Macao service provider that has incorporated a construction engineering design enterprise or urban planning service enterprise in the Mainland, its performances in Hong Kong, Macao and the Mainland may be regarded as a basis for evaluating the qualifications of the enterprise applicant incorporated in the Mainland.

2.

The relevant qualification requirements on the construction engineering design enterprise applicant as provided in Article 15 of the Rules for the Administration of Foreign-funded Construction Engineering Design Enterprises (Order of the Ministry of Construction No. 114) are relaxed. That is to say, when a foreign-funded construction engineering design enterprise to be incorporated in the Mainland applies for the qualifications of a construction engineering design enterprise, the number of the Hong Kong/Macao residents who have obtained the qualifications of Chinese certified architect and certified engineer shall be not less than 1/4 of the total certified practitioners, and the number of the Hong Kong/Macao residents who have relevant professional design experience shall be not less than 1/4 of the total technical backbones as provided in the standards for the classification of qualifications; when a Sino-foreign joint venture construction engineering design enterprise or a Sino-foreign cooperative construction engineering design enterprise to be incorporated in the Mainland applies for the qualifications of a construction engineering design enterprise, the number of the Hong Kong/Macao residents who have obtained the qualifications of Chinese certified architect and certified engineer shall be not less than 1/8 of the total certified practitioners and the number of the Hong Kong/Macao residents who have relevant professional design experience shall be not less than 1/8 of the total technical backbones as provided in the standards for the classification of qualifications.

3.

When two or more Hong Kong/Macao service providers incorporate a joint venture or cooperative urban planning service enterprise in the Mainland, the performances of both or all of the companies in Hong Kong, Macao and the Mainland may be consolidated as a basis for evaluating the qualifications of the enterprise incorporated in the Mainland.

4.

The requirement on residence of Hong Kong/Macao professionals and technicians in the Mainland shall be relaxed; their residence in Hong Kong/Macao shall be included in the time of residence in the Mainland.

5.

This Circular shall be implemented as of January 1, 2006.

Ministry of Construction

December 6, 2005